how to find the budgeted amount for year 1
Medical Equipment & Supplies Expenses
The following items will be needed in year one. Existing medical equipment and the surgery suite are being contributed by the facility and are considered in-kind contributions and therefore not included in the budgeted amount but must be shown as ana item in the budget. These expenses include:
Administrative, Technology and Other General Expenses
The program will convert existing clinical space so there are no space related expenses. The following expenses should be included in the budgeted amount.
Summary of Expenses Year 1
After completing each expense category, students will summarize all the projected expenses.
Use the following descriptions to input and calculate the dollar amounts for expenses.
The program director has used information from a similar practice to estimate revenue related to clinical procedures, consultations, and sales of supplements. The following are revenue projections:
To find the budgeted amount for year 1, you will need to sum up all the projected expenses while also considering the projected revenue from various sources. Here’s how you can calculate the budgeted amount step by step:
Step 1: Calculate Expenses
Medical Equipment & Supplies Expenses:
Administrative, Technology, and Other General Expenses:
Sum of Expenses: Total Medical Equipment & Supplies Expenses = $50,000 + $175,000 + $87,000 + $120,000 Total Administrative and Other Expenses = $4,500 + $1,300 + $1,500 + $6,600 + $720 + $600 + $1,000
Step 2: Calculate Revenue
Step 3: Calculate Total Revenue
Sum of Revenue: Total Revenue = Revenue from Nutritional Services + Revenue from Plastic Surgery Consultations + Revenue from Clinical Procedures + Revenue from Surgeries + Revenue from Supplements
Step 4: Calculate Budgeted Amount
Budgeted Amount = Total Expenses – Total Revenue
Substitute the calculated values from Steps 1 and 2 into the Budgeted Amount formula.
Please note that this is a simplified calculation, and actual budgets may involve more complexities and considerations. Additionally, ensure that you have accurate data and understand the revenue streams and expense categories fully to arrive at an accurate budgeted amount for year 1.